Ethereum, Solana and other cryptocurrencies are losing significant value. Bitcoin has lost 11 percent and is priced at $82,300. The psychologically important mark of $80,000 is not far off. Among the reasons are Trump's recent decisions regarding the strategic reserve and tariffs. Reports UNN with reference to Investing.
On Sunday, Bitcoin fell to $82,568 and continued its losing streak on Monday, as markets were not very excited about the strategic reserve being formed by U.S. President Donald Trump and the cryptocurrency summit held at the White House.
Other cryptocurrencies also recorded significant losses:
- Ethereum (-4.89 percent);
- Solana (-3.75 percent);
- Dogecoin (-8.85 percent);
- Cardano (-6.37 percent);
- Ripple (-6.62 percent).
The main reason for the price drop was the announcement of the creation of a U.S. digital currency reserve. This reserve will include Bitcoin and other cryptocurrencies, but without active stockpiling.
Traders are also concerned about the slowdown in the U.S. economy and Trump's plans to impose additional tariffs on trade.
For reference
Last week, Trump signed an order approving the creation of a national Bitcoin reserve, as well as stocks of four other altcoins - Ethereum, XRP, Solana, and Cardano.
This order is unlikely to lead to new cryptocurrency purchases by the government, at least not with taxpayer money, writes Investing.
Although Trump instructed his secretaries of commerce and trade to explore "budget-neutral" strategies for purchasing Bitcoin, it was not immediately clear how such purchases would take place.
The Bitcoin reserve will be formed from seized cryptocurrencies held by the government, primarily the Department of Justice.
Trump's reserve indicates that the government will no longer sell tokens. At the same time, the lack of buyback measures suggests that this move will not have a significant impact on the market.